Nits and dandruff can be hard to identify as they both cause itching and scratching in the head. However; there are some other differences which can make it easy for you to identify them and treat them accordingly.

Understanding Nits

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Nits are very tiny in size. Unlike lice, the nits can stay outside the human scalp for more than 7 days. Nits are mostly white or milky in color and they can be seen with the help of a microscope or a fine nit comb. Nits are attached with the hair follicles like glue and they cannot be conveniently removed or washed from the scalp. Nits do not cause itching, however; lice can cause itching and scratching. Nits generally occur individually, however; a nit can be surrounded by several other nits attached with the surrounding hair follicles.
Nits can be identified by their presence in the hair roots. Physically, nits do not cause any other change in the hair condition or head scalp. The intense feeling of itching and scratching arouses due to the bite of mature lice.

Understanding Dandruff

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Dandruff is not a living creature like nits. When the human scalp or skin is not supplied by sufficient moisture or essential oils, it turns dry and scaly. These scales detach from the human skin and appear in the form of dandruff flakes. A few skin diseases, including dermatitis, psoriasis, eczema and poor immune system can also cause dandruff.
The presence of dandruff can be identified from the white colored flakes in the hair. These flakes can be large or small. The dandruff flakes are present in the hair roots and hair strands both. Dandruff causes sebum production in the scalp of the head which turns it oily and makes the hair sticky.
Dandruff can be removed by washing the hair with an anti-dandruff shampoo or supplying essential oils to the head scalp.

Other Differences

Nit holds the hair very aggressively and tightly, therefore, it cannot be removed easily even with fingertips. However; dandruff is loosely bound with the scalp and removes after washing the hair.
The shape of nit is oval whereas the shape of dandruff is flaky and patchy.
Nits develop and grow in neat and clean head whereas dandruff produces in messy head.
Nits do not cause any physical change in the head, whereas, dandruff produces oil and sticky substance in the hair.